To become more familiar with how cryptocurrencies work, the Czech National Bank Announce On Thursday, the company will invest $1 million in Bitcoin and some U.S. dollar-backed stablecoins. The bank said the purchase, approved on October 30, 2025, will allow it to gain practical experience in holding digital assets, but the cryptocurrencies will be held separately from the country’s international reserves.
“The aim is to test decentralized Bitcoin from a central bank perspective and assess its potential role in diversifying reserves,” CNB Governor Aleš Michl said in a statement.
state investment Bitcoin It’s been a year of ups and downs for digital currencies. Last month, its price reached an all-time high of about $125,000, but the price is now down about 19% to about $101,000.
The Central Bank of the Czech Republic is the first country to purchase Bitcoin directly, although several other countries have already adopted cryptocurrency ownership as part of their economic policies.
These include El Salvador, which became the first country to make Bitcoin legal tender in 2021, and the small Himalayan nation of Bhutan, It is one of the largest sovereign holders in the world digital currency. Kazakhstan is already a major player in Bitcoin mining, announcing plans in September to create a Bitcoin sovereign wealth.
Meanwhile, in the United States, President Trump announced the creation of a strategic Bitcoin this year. The reserve will not allow the U.S. to purchase Bitcoin directly, but rather the reserve will be supplied through proceeds from confiscations and criminal seizures.
CNB stated that the amount of its investment in digital assets will not increase and that they will release an evaluation of the project to the public in approximately two or three years.
The Czech Republic is part of the European Union, but it uses its own currency, called the krona. The CNB said it intends to keep the currency strong and has held internal discussions on the future of payments.
“Let’s be more forward-looking and forward-thinking,” Michel said in a statement. “It is foreseeable that in the future it will be easy to use the krona to buy, for example, tokenized Czech bonds – just one tap to drink an espresso and another tap to buy investments such as bonds or other assets that once belonged to big investors.”